Development of Renewable Energy
Sources (RES) was all alone a priority of the Cyprus energy policy and
to that end a number of supportive measures have been taken such as
the establishment of the Applied Energy Centre and of the Institute of
Energy. Additionally, the existence of strong solar industry is
considered as an advantage in the topic of further RES development.
The Applied Energy Centre was established in 1986 to serve as the
focal point for all renewable effort in the country. It oversees the
implementation of the national renewable energy program, the main aim
of which is to bring viable renewable energy technologies to a level
of wide scale acceptance. The Centre has its own building with a
workshop, offices, a laboratory, an outdoor solar panel testing rig
and library facilities. This is a governmental department under the
Energy Service of the Ministry of Commerce, Industry and Tourism.
The Institute of Energy was established in 2000. Its main aim is the
development and promotion of renewable energy sources and the
dissemination of financially viable energy technologies in Cyprus. It
closely collaborates with the Energy Service of the Ministry of
Commerce Industry and Tourism. However it has greater flexibility in
collaborating with other local and international organisations, being
a nongovernmental organisation.
Solar industry is comprised of about 35 small and medium sized
companies, with a gross output approximately 7 million euros [40].
Around 400 people are employed in Solar industry. The Cyprus
Organization of Standards (CYS), has established the testing and
certification standards for collectors and systems, CYS259/92,
CYS263/92 and CYS 209/91, which are compatible with European Standards
[44], showing the high level of know-how in this field.
Investors interest
According to the existing policies a grants scheme for the promotion
of the Renewable Energy Sources during the period 2002 – 2010 is
included. The scheme provides financial incentives in the form of
government grants for the promotion of investments in the field of
energy saving and energy production from renewable energy sources. Due
to the recently official announcement for the commencement of the NEW
Grants Scheme for the promotion of RES and Energy Conservation, a lot
of foreign investors have expressed interest in RES investments. On
the other hand Cypriots wish to get the financial incentives provided
by the government in order to invest for energy production for their
own uses. The ustilisation of RES seems to develop rapidly as it is
expected after the formulation of the Grant Scheme.
Currently, in Cyprus due to favourable climate conditions the solar
energy is extensively used especially for the production of sanitary
hot water. Solar Energy is the only form of RES contributing to the
island’s energy balance (4%). Solar energy is used for heating
sanitary water by utilisation of solar water heaters. More than the
90% of households are equipped with solar water heaters and more than
53% of hotels are utilising large solar water heating systems. Cyprus
present image of Solar Water Heating Systems is excellent in Cyprus
among individual users:
-
In individual houses – people
are satisfied with their SWHs and would buy a new one if they had to
replace their old one.
-
In flats – people would like
to “switch to solar”.
-
In hotels and apartments – SWH
is a “must” for any new hotel builder.
However, the solar industry
managers seem to be more sceptical and the problems to put to Cypriot
Industry are presently:
-
Non-expanding domestic market,
so it appears as necessity to promote export sales;
-
To disengage from the highly
saturated market of individual SWH´s in favour of collective housing
systems, tourism and health facilities, and industrial hot water
processes.
-
New solar application should
be investigated i.e. space heating and cooling.
Public attitude
In general people react favorably to any new development that adds
value and improves their living standards. Predictably, they oppose
any new development that puts those standards in jeopardy. Consumer
motivation is not necessary in Cyprus market as the DHW systems have
already penetrated in the market and each customer considers these
systems necessary for households. The electricity prices in Cyprus are
relatively high in comparison with other Mediterranean Countries and
therefore house owners prefer to “switch to solar”. Cypriot consumers
utilise DHW systems as the payback period is short, they are trouble
free, long life and simple during installation. Furthermore, it is
considered that they improve the quality of life.
Problems have been arise related with wind farms as the citizens do
not wish the development of wind farms in the nearby field creating
the “not in my back yard syndrome”. A good example is the case of the
Electricity Authority of Cyprus intending to invest in a wind park in
Limassol and the licensing procedure was stopped due to the citizens’
opposition. These phenomena occurred due to the ignorance of RES
applications, their advantages and disadvantages.
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